How to Start Paying off Your Student Loans Now

When it comes to federal student loan debt, it is in the student’s best interest to make monthly student loan payments while enrolled in school. This will contribute to lowering student loan debt to repay after completing your program because at the same time, the government is paying the accruing interest on subsidized loans. The benefit of paying while in school is to reduce the student’s financial burden of monthly student loan payments, as well as the overall amount repaid over the term of the loans. 

Making payments toward your federal student loans while in school can help prevent interest from accruing daily and may stop your principal loan balance from increasing. Having this discipline will help you pay off our loans quicker after you graduate or leave school. Another advantage of creating this habit of paying while in school is that you may be able to deduct your paid student loan interest on your federal tax return.

If you are currently working, check with your employer to verify if they provide tuition reimbursement to assist you with paying for your education. If you are currently in the military, a veteran, or receive GI Bill tuition assistance, you may be eligible to receive assistance with your education.

To be successful in achieving the goal of paying your student loans in full, you should follow these simple steps: 

  • Know which federal student loan servicer is  servicing your student loans by accessing
  • Manage your account online through your loan servicer’s website
  • Create and stick to a monthly budget plan that allows you to make payments while in school. This will help you create and maintain a habit of repayment after you complete school.

In addition, creating a strategy and carefully planning your budget will help you take the first steps in creating the habit of making early payments on your federal student loans and sticking with your loan repayment goals. Many financial professionals agree it is always a smart move to make payments while in school and that doing so will be to your advantage. 

Do not hesitate to establish a relationship with your federal student loan servicer and be sure to provide them updated information anytime you change your telephone number, email address, or move and have a new mailing address. You can be successful in repaying your student loan debt even while in school. 

External links provided on are for reference only. Rasmussen College does not guarantee, approve, control, or specifically endorse the information or products available on websites linked to, and is not endorsed by website owners, authors and/or organizations referenced.

Susan is a student loan advisor at Rasmussen College in Chicago. She advises former and current students on how to maintain their federal student loans in good standing. She has worked in the field of higher education for over 10 years. Judie is a student loan advisor at Rasmussen College in Chicago. As an advisor, she provides free counseling service to all Rasmussen students, providing guidance on how to successfully manage their student loans. She has more than 10 years of experience in the financial aid field of higher education.

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